JPMorgan to acquire Apple credit card
The $20bn deal near-completes Goldman Sachs’ exit from consumer lending
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- Written by Banking Exchange staff
JPMorgan Chase will become the new issuer of Apple’s credit card, taking over an approximately $20bn portfolio as Goldman Sachs accelerates its retreat from consumer lending.
Under the agreement, JPMorgan Chase, the largest US bank by assets, will assume responsibility for Apple Card accounts. The transition is expected to take two years, during which time Goldman Sachs will continue to operate the program, JPMorgan said in a statement.
JPMorgan added that it expects to set aside $2.2bn in the fourth quarter of 2025 to cover anticipated credit losses associated with the acquired portfolio.
Jointly launched in August 2019 by Apple and Goldman Sachs, Apple Card was positioned as a fee-free product that could integrate with Apple devices. The card allows users to track spending through Apple Wallet and offers cashback credit known as Apple Cash.
The move marks another milestone in Goldman Sachs’ pullback from the consumer credit market. In recent years, the bank has sold its General Motors credit card business to Barclays, exited its Marcus Invest platform through a sale to Betterment, and divested GreenSky, its consumer finance fintech unit.
“This transaction substantially completes the narrowing of our focus in our consumer business,” Goldman Sachs CEO David Solomon said.
Mastercard will remain the payment network for Apple Card.
Tagged under Mergers Acquisitions; Feature; M&A; Feature3; The Economy; Lending; Consumer Credit; Customers; Cards;